Mobile payments service provider Ezetap acquires loyalty platform provider Clinknow
The acquisition will enable Ezetap in facilitating merchants to acquire new consumers or retarget existing consumers by using proprietary shopper graphic filters. Merchants can target consumers on the basis of spending behaviour, location and demographics. They can also create their own offers, as well as drive repeat visits.
"Small and medium merchants who have not had access to state-of-the-art loyalty solutions until now will see increased footfalls and customer satisfaction. The integration of loyalty and offers is a natural extension of the point of sale," Abhijit Bose, CEO, Ezetap told The Economic Times.
Hyderabad-based Clink analyses anonymous transaction data and builds predictive models to target consumers according to past purchases, propensity to buy, location, lifetime value, etc. Its precise targeting platform then connects retailers with consumer segments that are most likely to buy their products and use their services.
According to the company's website, it has worked with over 700 retailers including the likes of Jet Airways, Cleartrip and Naukri.com.
It is the second venture of BITS Pilani alumni Abhishek Nayak and Arpit Mohan. Prior to Clink, they had co-founded Gharpay Technology Services Pvt Ltd, a technology startup that offered a doorstep cash payment network for enterprises. Last June, Gurgaon-based SSN Logistics Pvt Ltd, which specialises in e-commerce logistics services and runs the web platform Delhivery.com, had acquired cash collection services, brand name and the operations team (comprising over 60 people) of Gharpay for an undisclosed amount.
Post Gharpay's acquisition, the two co-founders started focusing on their next product, Clink under the existing firm. Gharpay was backed by Sequoia Capital, Blume Ventures and Kae Capital besides angel investor Raju Reddy, and Nayak had mentioned at the time that none of the investors exited in the sell-off.
"Clink is a solution for retailers that sits at the bank's server and analyses all the transactions. It will then help retailers target customers according to their buying pattern," Nayak had earlier told Techcircle.in.
In March this year, Ezetap had raised an undisclosed amount in funding from American Express, to accelerate its global growth across Asia and Africa. This funding had come just a month after the Bangalore-based company bagged $8 million in a Series B round of funding led by Helion Venture Partners, with participation from existing investors Social+Capital Partnership and New York-based Berggruen Holdings.
Ezetap was founded in 2011 by Bose and Bhaktha Keshavachar (CTO). The Ezetap solution turns any merchant's mobile device into an intelligent point of sale that is able to read all cards and complete a full spectrum of financial transactions, including credit card sale, real-time bill payment and ATM cash withdrawals or deposits.
This solution comprises a secure and lightweight card reader, a configurable mobile app and a flexible platform that allows Ezetap to provide customised value-added services and integrate to a merchant's existing systems. The Ezetap Card Reader can connect to a mobile device via Bluetooth, USB or audio jacks.
Last year, the firm launched a mobile POS device priced at $50. As of March 2014, Ezetap claimed to have deployed over 12,000 mPOS devices across Southeast Asia and Africa, and expects the number to cross 100,000 in 12 months. The firm currently serves companies in e-commerce, bill payment & collections, insurance, FMCG, restaurants & hospitality, retail, taxi services and organisations focused on financial inclusion.
(Edited by Joby Puthuparampil Johnson)